When quantity supplied is greater than quantity demanded, market price is _______ the equilibrium price.
Fill in the blank(s) with the appropriate word(s).
above
You might also like to view...
The asset demand for money is related to the function of money called
A) medium of exchange. B) standard of deferred payment. C) store of value. D) unit of account.
Indifference curves typically a. cross each other
b. have a positive slope. c. are convex from the origin. d. are concave from the origin.
Which of the following correctly describes a wage-price spiral?
a. An increase in nominal wages causes inflation, and inflation causes workers to demand even higher wages in order to keep their real income constant. This cycle can repeat itself. b. An increase in real wages due to growth in workers' productivity causes inflation, which in turn increases workers' productivity. c. A decrease in prices causes workers to demand higher wages, which in turn puts additional downward pressure on prices. d. An increase in the price level lowers real wages leading to unemployment. This in turn puts downward pressure on prices.
A labor contract provides for a first-year wage of $10 per hour, and specifies that the real wage will rise by 3 percent in the second year of the contract and by another 3 percent in the third year. The CPI is 1.00 in the first year, 1.07 in the second year, and 1.15 in the third year. What dollar wage must be paid in the third year?
A. $12.20 B. $12.31 C. $11.15 D. $10.61